Australian surf put on model Billabong has acquired a takeover bid from rival Quiksilver which values the corporate at round $150m (£110m).
It might be a lifeline for the troubled agency, which has solely turned a revenue in one of many final 5 years.
Billabong suffered a $58m (£43m) wipeout this yr, which was triple its loss for 2016.
The corporate sells clothes beneath eight totally different manufacturers and sponsors surf occasions around the globe.
In an announcement to the Australian Inventory Change, Billabong stated it acquired a non-binding supply from Boardriders to accumulate all the firm’s shares for $zero.seventy six every.
Boardriders was previously referred to as Quiksilver and nonetheless sells clothes underneath its unique identify.
Billabong’s shares shot up 23% on information of the supply. The supply is topic to a variety of circumstances together with unanimous approval by Billabong’s board and due diligence.
In 2012, Billabong rejected a takeover bid value greater than 4 occasions the present supply.
Quiksilver was based in Australia in 1969, however moved to the US, the place it listed in 1986.
After declaring chapter in 2015, it restructured and have become a personal firm with the assistance of personal fairness agency Oaktree Capital.
Oaktree Capital, which turned Quiksilver’s majority shareholder when the corporate emerged from chapter, additionally owns a 19% stake in Billabong.
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